The word comes from Old French (finding it's roots in Latin,) "Satelles", meaning "Hangers-on." The word originally referred to those people who hung about princes and other royalty in an attempt to make themselves look more important. Also could mean an attendant, like a page or a lady-in-waiting, for said royalty.
Someone somewhere along the line thought the small planets orbiting other planets resembled these types of people, and the word was applied to that as well. Which is also why it applies to man-made objects too. Anything that orbits a planet is a satellite.
The word "planet" is from Latin and literally means "Wanderer." The use of this word stems from the time when no telescopes were used, and astronomers thought that all celestial bodies were the same. Some bodies appeared to remain fixed relative to each other, and others seemed to move around in the sky. These wandering bodies became known as planets. It wasn't until the advent of telescopes that we discovered these bodies were in fact very different from the other visible celestial bodies, namely stars.
Since that time, the word planet has come to mean a non-luminous celestial body (one which does not produce it's own light) which is bigger than a meteor and lacks the coma of a comet. By this definition, moons do fit the bill, however the word is generally used to define only those bodies which also orbit a star rather than another planet. Therein lies the difference between a moon and a "planet." One orbits a sun, the other orbits another non-luminous body.
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Goodbye Ruth & Betty, my beautiful grandmothers.
Betty Kuzara 1921 - April 5, 2008
Ruth Kellison 1925 - Dec 27, 2007